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Gorenje CEO Against Public Tender, Supports Cooperation with EBRD
Jun 22, 2006
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Franjo Bobinac, CEO Slovenia-based appliance maker Gorenje, said he hopes the state will not sell its 28-percent stake in the company via public tender.

Bobinac said that a public tender scenario could lead to a takeover by companies interested in the sales network and the Gorenje trademark. A gradual closure of Gorenje's companies in Slovenia and a reducing its supply network by half would most probably follow, he said.

While he is aware that it is not up to the management to instruct company owners, Bobinac believes that "when ownership gets in the way of reaching strategic goals, it seems appropriate that the management points this out."

He said that the European Bank for Reconstruction and Development (EBRD) could be Gorenje's partner in entering the Russian and Ukrainian markets and Western Balkan markets.

According to Bobinac the possibility that 70 to 80 Gorenje managers would buy a stake in the company has not been considered yet, but the majority would be prepared to take part in such a move as they strongly believe in Gorenje.

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